CareWorx Corporation, a top global MSP (a market leader in senior care) has merged with Fully Managed Technology Inc., a top Canadian MSP and cloud service provider. The merger should enable them to augment their managed services catalogue in security, cloud services, and digital transformation. It also expands their market coverage with a now combined six Managed Service Centers coast-to-coast – delivering 24×7 service across North America.
The merger sees two of the pioneers of the MSP industry join forces. Chris Day, founder of IT Glue, Warranty Master and, together with partner Sharleen Oborowsky, Fully Managed, and Mark Scott, founder of N-able Technologies (now Solarwinds MSP) and TUC Managed IT Solutions (which merged with CareWorx in January 2016) are bringing their teams together. Chris and Mark had discussed building a well-funded “MSP platform company” for the past eight years and this merger is the next step in bringing that vision to fruition.
The parent company will be known as CareWorx Fully Managed with 270 employees in three lines of business (divisions): Managed Services (Fully Managed), Enterprise Service Management (MSPWorx), and Senior Care (CareWorx).
“We believe this is an incredible opportunity to build the first true MSP platform company with the scale, capital and, most importantly, an incredible and experienced team to do it,” said Mark Scott, CEO of CareWorx Fully Managed. “We are creating an ‘MSP unicorn’ – one that can accelerate rapidly through both organic growth and acquisitions, while re-defining our customers’ experience in today’s as-a-Service world!”
“Having spent almost a year on the merger, I’ve had the opportunity first-hand to witness our synergies – we share a common approach to both managed services and the concept of digital transformation. Ultimately, I see an alignment of great people on both teams, committed to a common vision of simplifying technology for our customers,” said Joel Abramson, former CEO of Fully Managed and now EVP & GM of the Managed Services division.
“It will be exciting to see what we can do with our business,” stated Chris Day, who joined the Board of CareWorx Fully Managed. “An MSP that can combine ‘Rule of 40’ recurring revenue organic growth with market consolidation is a game-changer.”
Funding for the merger came from capital previously provided by Kayne Partners, the growth private equity group of Kayne Anderson Capital Advisors, L.P., along with additional debt financing from CIBC Innovation Banking.